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IAICOMMENTARIES23|48-OCTOBER2023ISSN2532-6570©2023IAI

ForaNewEuro-MedGreenDeal

–gointherightdirection.Theinitiativeisthusveryambitious,althoughitdoesnotcomewithoutobstaclesandchallenges1thatthesecountriesneedtocarefullyassessandaddress.Theinclusionofnon-EUcountries,suchastheUKandNorway,togetherwiththeestablishmentoftheEU-NorwayGreenAlliance,2isalsoanaddedvalueshowinghowtheenergytrilemmacanbemanagedefficiently.TheGreenDealwillindeedbesuccessfulonlyifitmanagestoengagepositivelywiththeneighbourhoodsandtomainstreamitsgreenpillarsoutsidethebordersandacrossitsforeignpolicy.

Now,itistimetoexpandsuchanapproachtotheMediterraneanSea.EuropeanMediterraneancountriesshouldcometogetherandworkon

Globaldecarbonisationrequires

massiveandboldmeasures,sustained

byconsistentpoliticalsupport.The

EuropeanUnionhasbeenafirstmover

withthelaunchofitsEuropeanGreen

Dealin2019pursuingclimateneutrality

by2050.

Toreachthisambition,cooperation

amongcountriesbothwithintheEU

andbeyonditsbordersiscrucial.This

meansplanningtodeliverstructural

changebeyondthepoliticalcycleand

buildinglong-lastingpartnerships

toachieveclimateneutralityand

sustainable,inclusiveeconomic

growth.Alackofvisionandlong-term

strategy,alsotriggeredbyelectoral

shifts,couldfragmenttheEU,fragilise

energysecurity,leadtoeconomic

lossesaswellasderaildecarbonisation.

1SimoneTagliapietra,“NorthSeaSummit:BlowingintheWind?”,inBruegelFirstGlance,25April2023,

/

node/8988

.

2EuropeanCommission,EuropeanGreenDeal:NewEU-NorwayGreenAlliancetoDeepenCooperationonClimate,Environment,EnergyandCleanIndustry,24April2023,

https://

ec.europa.eu/commission/presscorner/detail/

en/ip_23_2391

.

Inthisspirit,therecentdevelopments

intheNorthSea–aimingatharnessing

theabundantrenewableenergy

potentialoftheregion(especially

offshorewind)and,consequently,

enhancingenergysecurity,accelerating

thebloc’sdecarbonisationand

promotingindustrialcompetitiveness

ThisCommentaryisbasedonaninitiativelaunchedbytheIstitutoAffariInternazionali(IAI).Themaingoalistoproposeacommonandcoordinatedapproachwithinthe

EuroMediterraneanareaintermsofenergytransition.Tothisend,IAIgatheredthevoicesofsomeexpertsonenergywithaninterestinthearea.Allauthorshavecontributedtothetextinlightoftheirspecificexpertiseandknowledge.

1

IAICOMMENTARIES23|48-OCTOBER2023ISSN2532-6570©2023IAI

ForaNewEuro-MedGreenDeal

theMedhoweverstillappearsabsentorembryonic.3

WecallEUMedcountriestopursue

andfocusonthefollowingactionsandmeasures:

1)Countriesshouldharnesstheirvastrenewablepotentialbothintermsofsolarandwindinthemostcost-efficientway.Despitethegrowthofsolarphotovoltaic(PV),morecanandmustbedonetoincreasesolargenerationintheregion.EUMediterraneancountriescouldalsobenefitextensivelyfromoffshorewind,whichislargelyuntappedwithonlya30MWprojectlaunchedin2022.4Therefore,countriesneedtoacceleratepermittingprocedurestobenefitfromtheirpotential,but

theyneedalsototeamupinordertocreateeconomiesofscaleandjointprojects.EUMedcountriescouldalsopromotescientificcooperationonnewrenewablestechnologies,suchasfloatingoffshorewind.

2)TheexpansionofenergyinfrastructurebothwithintheEUandabroadcannotbeneglectedbyaEuro-MedGreenDeal.Ascountriesseektoincreasetheshareofrenewablesintheirmixes,developingthenecessaryelectricgridsisessential,otherwisethetransitionwillbedelayed.5

theircompetitiveandcomparative

advantages,contributingtotheclimate

pathwayoftheentireregion.TheMed

iswellknownforitsrenewableenergy

potential,inbothsolarandwind,well

complementingthedevelopmentsof

theNorthernEuropeancountries.The

regionisalsostrategicforEUforeign

policy.TheEUshouldindeedpropose

win-winpartnershipsfortheregion

topromoteitsclimatediplomacyand

contrastthegrowinggeopolitical

presenceandinfluenceofexternal

players,notablyRussiaandChina.

Therefore,theEUMedcountriescan

fosterandlaunchpartnershipsfor

deployingcleanenergies(notablysolar

andoffshorewind,alongsidegrids

andflexibilitytools),fosteringenergy

efficiency,investingincutting-edge

technologies(likecarboncapture,

utilisationandstorage[CCUS],

andhydrogen)andstrengthening

infrastructureconnectivity.

3SeeforexamplethelatestMed9meetinginLaVallettainMay2023.Med9EnergyMinisterialSummitJointStatement,Valletta,18May2023,

.mt/en/Government/

DOI/Press%20Releases/PublishingImages/

Pages/2023/05/18/pr230740en/PR230740e.pdf

.4AdrijanaBljan,“FirstMediterraneanOffshoreWindFarmUpandRunninginItaly”,inOffshoreWind,22April2022,

https://www.offshorewind.

biz/?p=100224880.

5AttractaMooney,“Gridlock:HowaLackof

Theseinitiatives,carriedoutwithinthe

EUvision,shouldaimatstrengthening

energysecurityandacceleratingthe

energytransitioninthemostcost-

efficientwayfortheentireUnion,aswell

astheentireregion,ratherthanfurther

fragmentingitsenergylandscape.By

doingso,EuroMedcountrieswillalso

addresstherising,commonchallenge

fortheentireregion:climatechange.

TheMediterraneanisaclimatehotspot

currentlywarming20percentfaster

thantherestoftheglobe,eventhough

itisresponsibleonlyfor6percent

oftheglobalcarbonemissions.The

increaseinintensityandfrequency

ofclimatechangeintheareais

morevisiblethanever.Anintegrated

regionalandEuropeanvisiontoward

2

IAICOMMENTARIES23|48-OCTOBER2023ISSN2532-6570©2023IAI

ForaNewEuro-MedGreenDeal

Theexpansioninterconnections6

ofcross-borderprovideseconomic

shouldworkjointlytobuildcommoninfrastructurestodecarboniseenergy-intensiveindustriesintheareaandforthedevelopmentofahydrogeneconomy,whichisasectorthattheEUiseagertodevelop.Thisapproachwouldalsoallowengagingwithenergy-producingcountriesintheSouthernMediterraneanshore.

4)AtrueEuro-MedGreenDealcannotlookonlyinward,butitmustalsobeoutward-looking.Itiscrucialto

engagewithnon-EUMedcountries

tobuildsolid,justenergyandclimatepartnershipsfortheentireregion’senergysecurityanddecarbonisation.Partnershipsshouldconsiderdifferentobjectivesandpriorities,promotingmutualinterestsandcooperation,while

advancingasoliddecarbonisationpathway.Aconcreteareaofcooperationcanlookatwaystofightmethaneemissionsinthearea–aimingatreducingenvironmentalandeconomicdamagesforproducingcountrieswhileincreasinggassuppliesforEuropeangasmarketsasenvisagedinthenewEUExternalEnergyStrategy.9EuroMedcountriescouldalsocooperateonenergyefficiency(thelow-hangingfruitofenergytransition)throughidentifyingandsharinginnovativepractices,technologiesanddataaswellasinvestmentsaimedatcapacity-building.

benefitsandsecurityofsuppliesaswell

asthefastdeploymentofrenewables

intothesystem.Investingincross-

borderinterconnectionswillenhance

energysecurityandallowbetter

integrationbetweenwindfromthe

NorthandsolarenergyfromtheSouth.

EUMedcountriesshouldalsoinvestin

decarbonisedgasinfrastructure:Spain,

PortugalandFranceforexamplehave

agreedtolaunchthe“H2Med”energy

interconnectionproject.7EUMed

countriesshouldalsoallocatefundsfor

additionalinterconnectionsbetween

thetwoshoresoftheMediterranean,

suchastheonewithTunisiaand

Egypt.Toimportcleanenergyfrom

theSouthernshore,EUMedcountries

willneedtoensurethatthese

countriesadvanceintheirdomestic

decarbonisation.Asoftoday,thereis

onlyabidirectionalinterconnector

betweenSpainandMorocco.

3)Anotherkeyissueisthedevelopment

ofCCStechnologiesgivenitspotential

comingfromthedepletedgasfields.

Currently,theMedislaggingbehind

comparedtotheNorthSeaasthereare

onlytwoprojectsunderconsideration

inItalyandGreece.8EUMedcountries

PowerLinesWillDelaytheAgeofRenewables”,

inFinancialTimes,11June2023,

https://www.

ft.com/content/a3be0c1a-15df-4970-810a-

8b958608ca0f

.

EnergyPolicyReview,Paris,IEA,May2023,p.49,

/reports/italy-2023

;andGreece2023EnergyPolicyReview,Paris,IEA,April2023,p.43-44,

/

reports/greece-2023

.

9EuropeanCommission,EUExternalEnergyEngagementinaChangingWorld(JOIN/2022/23),18May2022,

https://eur-lex.europa.eu/legal

-

content/en/TXT/?uri=celex:52022JC0023.

6ElisabethCremona,“BreakingBorders:

TheFutureofEurope’sElectricityIsin

Interconnectors”,inEmberInsights,14June

2023,

/insights/

research/breaking-borders-europe-electricity

-

interconnectors

.

7BelénCarreño,“HydrogenPipelinebetween

SpainandFrancetoCost$2.6bln”,inReuters,9

December2022,

http://reut.rs/3W1x2Ac

.

8InternationalEnergyAgency(IEA),Italy2023

3

IAICOMMENTARIES23|48-OCTOBER2023ISSN2532-6570©2023IAI

ForaNewEuro-MedGreenDeal

5)EuroMedcountriescouldalsoinvestindevelopingnewtechnologies,suchashydrogenandcleanelectricity,todecarboniseexistingindustriesandcreatejobsfortheyoung,growingpopulation.ImportsfromNorthAfricancountriescouldpotentially

contributetotheEUhydrogen.Cooperation

targetamong

on

EU

countriesaswellaswithSouthernMedcountriesisnecessaryinthisregardasshownbythejointdevelopmentoftheSoutH2CorridorfromAlgeriatoEuropeanmarkets.10Onthismatter,countriesneedtoenhanceexistingEUframeworkswithSouthMedcountries,forexample,theMediterraneanGreenHydrogenPartnership.Alongsidehydrogenimports,EUcountriesshouldfocusinitiallyonpromotingtheuse

ofgreenhydrogenandelectricitydomesticallyaimedatdecarbonisingSouthernMediterraneanenergy-intensiveindustries.MoroccoandEgypthavealsotakenmeasurestodevelophydrogencapacity,andmanyEuropeancountriesandcompanieshaveincreasinglyengagedwiththemoverthepastyears.DevelopinghydrogenfordomesticusewouldalsoallowSouthMedcountriestoreducetheirliabilitytotheEuropeanCarbonBorderAdjustmentMechanism(CBAM)aswellasfostertheintegrationofvaluechainsacrosstheMediterranean.

6)Toimplementallthesemeasures,itiscrucialforEUMedcountriestoenhancegovernanceandfinancialcooperation.

(a)Governance:EuroMediterraneancountriesalreadyshareanintergovernmentalinstitution(theUnionfortheMediterranean)andseveralcooperativeplatformsrelatedtoenergy(forexample,MedRegandMed-TSO)aswellasclimate(MedECC,ClimateSouth,CitiesforClimate,amongothers).Now,whatisneededisamoreintegratedandholisticvisiontoharnesstheregion’senergypotential,tobuildlong-lastingpartnershipsaswellasasustainableandsecurefuture.Todoso,EUMedcountriescouldestablishregularsummitsatthehighestpoliticallevel.Lastly,EUMedcountriesshouldcoordinatetheirmeasuresinaEuropeanperspective,byengagingwiththeEuropeanCommissiontobettercoordinatethemeasures,ensuretheachievementofEUclimatetargetsandpreventfragmentation.Inparallel,EUMedcountriesshouldprioritiseinclusiveandwin-winsolutionsaimedatadvancingdecarbonisationandeconomicgrowthfortheentireregion.

(b)Finance:EUMedcountriesshouldpooltheirfinanceresources,alsofrommultilateralinstitutionssuchastheEuropeanBankforReconstructionandDevelopment(EBRD)andtheEuropeanInvestmentBank(EIB),toputforwardafinancialplantopromoteprojectsandpartnershipsforasustainabletransitionintheentireregion.Coordinationoninvestmentsintheareaismuchneededtoavoidfragmentationandduplicationofefforts.

10RachelMoreandFrancescaLandini,“Germany,ItalySupportNewHydrogen-ReadyPipelineProject”,inReuters,8June2023,

https://ww/business/energy/

germany-italy-support-new-hydrogen-ready

-

pipeline-project-2023-06-08

.

NathalieTocci,MargheritaBianchi,VictorBurguete,Marc-AntoineEyl-Mazzega,MarcoGiuli,Jean-MichelGlachant,PierPaoloRaimondi,SimoneTagliapietra,HarryTzimitras,MatteoUrbani

4

IAICOMMENTARIES23|48-OCTOBER2023ISSN2532-6570©2023IAI

ForaNewEuro-MedGreenDeal

IstitutoAffariInternazionali(IAI)

TheIstitutoAffariInternazionali(IAI)isaprivate,independentnon-profitthinktank,foundedin1965ontheinitiativeofAltieroSpinelli.IAIseekstopromoteawarenessofinternationalpoliticsandtocontributetotheadvancementofEuropeanintegrationandmultilateralcooperation.ItsfocusembracestopicsofstrategicrelevancesuchasEuropeanintegration,securityanddefence,internationaleconomicsandglobalgovernance,energy,climateandItalianforeignpolicy;aswellasthedynamicsofcooperationandc

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